Working capital management of the enterprise

Abstract

The process of working capital management, by its very nature, is of great importance in shaping the results of an enterprise’s activities in market conditions. When managing current assets, the main goal is to determine their optimal size and structure, as well as the formation of sources of their financing. To maintain liquidity, an enterprise must have a high level of working capital, but to increase profitability, an enterprise must reduce the amount of working capital. Working capital can be characterized as a lever that regulates the entire production process, the level of profit of the enterprise and the volume of output.